PTI citing n ONGC official reported that Mittal Investment’s acquisition of 49% stake in Hindustan Petroleum Corporation Limited’s USD 3 billion Bathinda Refinery has violated earlier pact with Oil and Natural Gas Corporation to pursue hydrocarbon opportunities exclusively with them. Besides, Mr LN Mittal has on his own bought 50% stake in a Kazakhstan oil firm from Russia's Lukoil for USD 980 million dollars and acquired 3% cent stake in the USD 6 billion dollar Chevron-operated Olokola LNG project in Nigeria.

Mr LN Mittal signed a JV agreement in July 2005 with ONGC to form ONGC-Mittal Energy Limited for acquisition of oil and gas fields, refinery business and LNG projects. As per report which cites an ONGC official as saying that “The July 24, 2005, agreement had earmarked 27 countries for exclusive pursuit of hydrocarbon opportunities by OMEL. For the rest of the world, it clearly stated that Mittal shall offer ONGC Videsh a partnership in any venture or business opportunity it wishes to undertake in the hydrocarbon sphere.”

Clause 2.4 of the 2005 agreement reads “In the event Mittal or any of its affiliates is desirous of undertaking any venture or business opportunity in the hydrocarbons business in areas other than the Territories 27 countries, Mittal shall invite OVL, to the extent permissible and in the manner and with such information about such venture or business opportunity as it deems fit, to participate in such venture or business opportunity together with Mittal.” He added that Nigeria and Kazakhstan fall under the 27 exclusive countries marked for OMEL

The official said that the agreement had classified target countries into Schedule-I and II. Schedule-I countries including Angola, Azerbaijan, Congo Brazzaville, Democratic Republic of Congo, Indonesia, Kazakhstan, Romania, Trinidad and Tobago, Turkmenistan and Uzbekistan, where Mittal and ONGC had agreed to participate on an exclusive basis through OMEL. Schedule-II countries including Bosnia, Canada, China, Czech Republic, France, Germany, Kyrgyzstan, Liberia, Macedonia, Mexico, Nigeria, Poland, Sao Tome and Principe, South Africa, Sudan, United Kingdom and the US, where the two agreed to bid jointly on a case to case basis.